Saigon Hi-Tech Park licenses new projects

The Saigon Hi-Tech Park (SHTP) in Ho Chi Minh City granted investment licences on December 11 to two new projects in the park, worth a total nearly 200 million USD.

One project, invested by the Binh Viet Duc Limited Company, will build a medicine complex with an investment capital of 120 million USD on an 80,000 sq. m land plot.

The complex consists of four plants, manufacturing plasma and insulin products. The first phase of the project is expected to go into operation at the end of 2017.

Binh Viet Duc Limited Company’s Project Director Ho Ngoc Tuyen said the plant will use about 300,000 litres of plasma a year.

The other project, an engine manufacturing factory of the Republic of Korea’s New Hanam Limited Company, has an investment capital of 74 million USD.

Covering an area of 30,000 square meters, the plant will comprise manufacturing and assembling workshops, offices and research and development (R&D) laboratories.

The plant’s capacity is expected to reach about one million products a year, including motors for refrigerators, washing-machines, and air-conditioners during its initial phase.

New Hanam is a supplier of motor products for Samsung.

The national-level SHTP has reportedly attracted 68 investment projects with a total registered capital of 4.1 billion USD since its establishment in 2002.

Enterprises here have exported about 10 billion USD and imported roughly 8.8 billion USD worth of goods.

Forestry exports to reach US$9.5b

The domestic forestry sector expects to reach a total export value of wood and forestry products at US$9.5 billion in 2020, according to the Ministry of Agriculture and Rural Development.

The ministry said it also expected a growth rate of production value at 7% per year between 2016 and 2020,

To gain the targets, during this period, the industry would strongly change its development structure to increase efficiency and competitive ability, Deputy Minister of Agriculture and Rural Development Ha Cong Tuan said at a conference on reviewing protection and development of forests from 2011 to 2015, in Hanoi recently.

The sector would develop production step-by-step to meet the demand for wood, firewood, forestry products and material for wood processing industry, in addition to production of wooden boards and paper in markets at home and abroad, he said.

Tuan said that from 2011 to 2015, the sector showed strong growth in export value of wooden and forestry products from US$4.2 billion in 2011 to US$6.54 billion in 2014. The sector expected to reach between US$6.8 billion and US$7 billion for this year.

The sector also expanded its export market to 100 countries and territories, including the US, the EU, and Japan, apart from the Republic of Korea and China.

However, efficiency of forestry production in Vietnam was still lower than other countries in the region and the world due to the small production scale and a lack of synergy in the production chain, he said.

According to the ministry, the support industry and infrastructure for the wooden and forestry processing industry, such as warehouse and ports, have not been developed. The sector has not paid attention to the domestic market of wooden and forestry products.

Tuan said the local wood processing industry had developed recently, but the industry itself lacked synergy, with processing factories, consumption market and material regions not working closely enough. In addition, reform and development of production organisation had been slow.

The Vietnam Wood and Forestry Product Association said the US was the largest exporter of Vietnamese wooden and forestry products, followed by Japan, China and the EU.

Vietnam is the sixth biggest wood exporter in the world, the second largest in the Asia and the largest in the ASEAN community.

Wooden products are the most preferred as indoor and outdoor furniture, accounting for 75% of Vietnam's wooden products for export.

Entrepreneurs target sustainability

Young entrepreneurs in ASEAN countries should ensure environmental sustainability while doing business, the secretary of the Ho Chi Minh Communist Youth Union has said.

Nguyen Phi Long, speaking to 65 young businesspeople from the 10 ASEAN member countries and China, Japan, and the Republic of Korea at a four-day economic forum in HCM City on December 13, said the recent global economic crisis clearly showed that the development model based on natural resources and capital needed to be changed into a new sustainable one.

Economic development that exhausts resources, destroys the environment and causes social disharmony would be a steep price to pay, he said.

The ASEAN Community, which will come into effect at the end of this month, is expected to create opportunities for young entrepreneurs, who hope to stay networked.

But Long told the forum, titled ASEAN+3 Young Entrepreneurs Toward Sustainable Development, that young people should not develop their businesses based on natural resources and cheap labour.

Instead, they should depend on creativity and technology, he said.

"Asia and the world can only develop in a sustainable way if priority is given to human interest and environmentally-friendly growth," he said.

"Young entrepreneurs should be in the vanguard of sustainable development. I hope all of you make use of the creativity of youth for sustainable business models for the community's benefit."

Dr Erawan Tubplee, president of Thailand's SMEs Young Entrepreneurs Association and a man who runs education, fashion, real estate, and restaurant businesses, said he strongly agreed about doing business sustainably.

"I feel much excited for the ASEAN Economic Community. With the community, it is easier for collaboration with other colleagues in the community. We will be able to share knowledge."

"Sustainable regional economic development is important, and young entrepreneurs have a vital role in building a strong AEC," he said.

He foresees many opportunities with the formation of the ASEAN Community, and encourages young entrepreneurs to invest in member countries.

Neth Inra Sothythen, a young entrepreneur from Cambodia, said he wanted to learn more about the ASEAN Community and the role of entrepreneurship and young people's responsibilities.

"As a citizen of ASEAN, I am very excited to see the community being established. I think the establishment will bring a lot of positive outcomes to the community."

Nguyen Minh Hieu, a first year student at International University who is set on becoming an entrepreneur, said he was attending the forum to learn from other businesspeople.

"I see much opportunity for Vietnam, which is among the four less developed countries in ASEAN. However, the competition will help Viet Nam grow better.

"Becoming a member of the ASEAN Community and Trans-Pacific Partnership will help Viet Nam become a stronger country. I am very excited about that."

When the community is established, entrepreneurs from regional countries would bring knowledge to Vietnam, he said.

Thirteen young entrepreneurs, nominated by the attendees, were honoured at the forum for their contributions to sustainable development.

The four-day event is being organised by the Ho Chi Minh Communist Youth Union, National Committee on Youth of Vietnam, and Vietnam Youth Federation.

Ninh Thuan to expand plant

Deputy Prime Minister Hoang Trung Hai on Saturday broke ground for the expansion of the Da Nhim Hydropower Plant in Ninh Thuan Province.

According to the Electricity of Viet Nam, the expansion will add 80MW to the plant's capacity.

At the ground-breaking ceremony, Hai hailed the role of the plant in the country achieving its socio-economic development and security targets.

Though the additional capacity may not be significant, it would help fully use the water in the Da Nhim River, some of which is wasted now.

The project would also help mitigate flooding, he said.

The expansion work, being done at a cost of VND1.95 trillion (US$86.7 million), with 85 per cent coming from Japanese ODA loans, is scheduled to be completed in the first quarter of 2018. The Da Nhim Hydropower Plant, built in 1964, generates one billion kWh every year, and the expansion will add 100 million kWh.

PM urges businesses to sharpen competitive edge

The Government and the business community must work together to promote strength in order to enhance competitiveness for successful regional integration, Prime Minister Nguyen Tan Dung said.

At a meeting with businesses who participated in the Forum "Viet Nam Business Towards ASEAN Economic Community" held yesterday in Ha Noi, PM Dung said that there was no way but integration to help Viet Nam gain rapid and sustainable growth.

In integration, the business community must be a pioneer through the enhancement of effective management and technological innovation to reduce costs. The Government meanwhile can help only through opening more markets as well as improving institutional and administrative reforms to facilitate business.

Dung affirmed that the Party, State and Government always created favourable conditions for local people to do business, as well as helping local enterprises to globally integrate successfully.

He stressed that the last five years were Viet Nam's turning point for international integration, especially for the international economic integration. With the completion of the negotiations of 12 free trade agreements, Viet Nam now has free trade relations with 55 countries, including 15 of the top 20 largest economies in the world.

Through integration, enterprises have become mature and the State has also streamlined institutions and laws consistent with international practices.

However, the biggest challenge facing the nation and its businesses is weak competitiveness while the target of the country in the next five years is to grow faster and more sustainably.

On this occasion, Dung required the Viet Nam Chamber of Commerce and Industry (VCCI) to gather recommendations from the business community so that the Government could issue more policies to further ease the work of doing business and integrate successfully.

At the forum, VCCI Chairman Vu Tien Loc said that participation in the ASEAN Economic Community (AEC) would not create problems for Vietnamese enterprises, as commitments to the community are similar to those made to the World Trade Organisation.

However, to seize opportunities within the AEC, Loc urged local enterprises to continue efforts to prepare for their participation, noting that the business communities of other ASEAN countries might be better prepared than Viet Nam.

According to reports of the ASEAN Studies Centre (ISEAS – Singapore), up to 90 per cent of enterprises in Malaysia, more than 81 per cent of enterprises in Singapore and 50 per cent of enterprises in other ASEAN countries had prepared for doing business with the AEC. These countries' enterprises have opened compulsory courses to train employees in foreign languages of those AEC countries where the firms are about to open business establishments. Meanwhile, in Viet Nam, surveys have showed that only 35 per cent of local enterprises are knowledgeable about the AEC.

Experts at the forum, therefore, urged local businesses to make greater efforts to become knowledgeable about the AEC and enact further reforms to meet ASEAN and international standards.

According to Pham Thi Thu Hang, Secretary General of VCCI, Viet Nam's businesses are very optimistic about the prospects that FTAs can bring, and see few disadvantages in their being enacted.

Hang said that most local businesses recognised AEC as an opportunity to gain access to new markets and increase exports, but the gains would be relatively limited.

"In fact, the agreement aims to produce a unified market and production base, and it is the long-term benefits that enterprises in ASEAN should seek," Hang said.

Hang attributed the shortcomings to a lack of initiatives in gathering information from local businesses, particularly specific information in each field that will strongly influence business strategies of the businesses, Hang said.

However, she noted, there are many advantages that Viet Nam's businesses have and they should promote these in the future.

"It is the ability to rapidly integrate into the world economy and make a leap," Hang said

Addressing the forum, economist Vo Tri Thanh said Viet Nam must capitalise on the AEC, as it presents an opportunity for the country to avoid a middle income trap.

Thanh recommended that the Government, businesses and even local people learn about competitors so that they can make accurate forecasts about their rivals' strategies.

Yesterday, PM Dung also had a meeting with a business delegation from the industry and trade sector, where he appreciated the contribution of the sector to the country's economic growth.

He expected that businesses of the sector should further reform to improve competitiveness, raise productivity, cut costs and develop human resources.

Experts urge faster reforms to hasten economic growth

Viet Nam's economy would grow faster in the next five years, driven by a number of free trade agreements, low commodities prices, foreign direct investment and institutional reform, experts said.

Gross domestic (GDP) was expected to average between 6.5 per cent and 7 per cent from 2016 to 2020, up from the average rate of 6 per cent of the previous five-year period, while inflation was to be controlled at 5 per cent to 7 per cent, and the budget deficit cut to 4.8 per cent GDP by 2020.

Deputy Minister of Planning and Investment Dang Huy Dong said that it was important to find new drivers for growth in the next five years.

According to Dang Duc Anh from the National Centre for Socio-Economic Information and Forecast (NCIF), in order to ensure that the economy is on the track to sustainability, the country must tackle problems such as arrears in the real estate market, non-performing loans, productivity and business competitiveness.

A long-term development strategy was needed with a clear roadmap to call for investments, he said, and added that economic indicators should be transparent to consolidate the confidence of investors in the economy.

Duc Anh stressed that the government should raise resources from all economic sectors to allow the economy to grow, in addition to measures ensuring investment efficiency and preventing waste.

The economy would fully end recession and enter a recovery period in the next five years, Mai Thi Thu, NCIF's director said. The economic growth in the coming five-year period would be boosted by low commodity prices, foreign direct investment inflow, and rising demands in foreign markets, in addition to the country's institutional reforms, Thu stressed.

NCIF raised three scenarios for Viet Nam's economic growth during 2015-16 period.

In the moderate scenario, GDP would average 6.67 per cent, and inflation would be below 5 per cent.

A GDP growth rate of 7.04 per cent could be achieved in case reforms were hastened with risks of public debt and bad debt tackled thoroughly.

In the worst case scenario, if the risks in the financial system remained together with growing public debt, in addition to negative impacts from the global economy, GDP growth rate could fall to around 6 per cent and inflation spiked to 7 per cent.

Nguyen Quoc Viet, head of Economic Development Faculty under the Viet Nam National University, Ha Noi, stressed that in order to prevent the worst case scenario from happening, it was vital to enhance the added value during the period of economic transition.

Viet said that it was important for the economy to be headed for sustainable rather than rapid growth.

However, economic experts believed there was little possibility of the worst case and the best case scenarios occurring.

Transport ministry to complete divestments in all its companies

The Ministry of Transport (MoT) is planning to complete divestments from all of its corporations by the first quarter of 2016.

Deputy Minister of Transport Nguyen Hong Truong made this announcement at a meeting in Ha Noi last Thursday.

MoT has completed the equitisation of 137 enterprises between 2011 and 2015, which is 67 more than the ministry's target, Truong said.

Of this figure, there are 16 major corporations, including the VINALINES and the Airport Corporation of Viet Nam (ACV), he said.

So far, MoT has also completed the divestment in 113 firms and earned VND4.4 trillion (US$195.4 million), he added.

After equitisation, many enterprises have gradually become strong businesses. Companies in the field of traffic construction have become a key force in helping MoT complete their plan ahead of schedule in major transport projects, Deputy Minister Truong said.

By the end of 2015, MoT will complete the sale of its shares in 124 enterprises through an initial public offering (IPO). They will pay VND1.7 trillion ($75.5 million) to the business development fund of the State Capital Investment Corporation (SCIC), according to Truong.

Speaking at the meeting, Deputy Prime Minister Vu Van Ninh appreciated the implementation of the equitisation in State-owned Enterprises (SoE) of MoT.

He also praised the efforts of MoT in partnering with related ministries to boost equitisation of SoEs.

In the near future, MoT would need to continue to review and implement equitisation of enterprises, especially in search for strategic investors for SoEs, Ninh urged.

Littered with stalled projects

Quang Nam Province is facing a slew of problems caused by delayed and suspended projects.

Lang Chai Resort in the ancient town of Hoi An is one such stalled project. The resort, located on a 22ha area of Thong Nhat Beach, has changed hands four times since being licensed 13 years ago and not making a start, leaving 183 families whose lands were acquired for the purpose in limbo.

The 20 members of wounded soldier Nguyen Duoc's family, a resident of Ha My Dong hamlet (where Lang Chai Resort is located), have had to live in a small house for the past decade because they are not allowed to repair or expand it.

All households in Ha My Dong also suffer from poor and deteriorating transport, education and health facilities.

According to figures from the province People's Committee, 42 projects have been licensed along the coast. Three of them, First Quality Management, Logi 3 JSC, and T. I. D. I, have had their licences cancelled following long delays.

Tran Van Tri, a former director of the province Department of Planning and Investment, said the licensing of many projects without assessing their investors' financial capacity was one of the reasons for the problems faced by Quang Nam with regard to stalled projects.

Tan Tao Energy signs MoU on thermal plant

Tan Tao Energy Joint Stock Company (TEC) signed a memorandum of understanding (MoU) with the General Director of Enegery on developing the Kien Luong 1 thermal project in southern province of Kien Giang's Kien Luong District on December 11

The conversion of the plant in the southern province from a build – own – operate project to a build – operate – transfer project had been approved by the government in 2014.

The Kien Luong thermal plant, in which the TEC has invested, will produce 1,200 MW of power and will consist of two units. The plant will use imported coal to supply electricity for economic development and national energy security.

According to the MoU, the first unit of the plant will become operational in August 2024, and the whole plant will become operational in February 2025.

Speaking at the signing ceremony, TEC representative Thai Van Men said the MoU would play an important role in creating a legal framework for the negotiation of other documents of the project.

"TEC is determined to implement procedures as per regulations to make the plant operational on schedule," he said.

TEC has completed land clearance compensation and is ready for the construction of the plant.

TEC is a member of the Tan Tao Group and operates in major fields such as construction, electrical equipment production and electricity distribution.

Koizumi buys 23% stake in Vietnamese firm

Japan's Koizumi Co., Ltd on December 5 signed a strategic investment agreement for buying a 23 per cent stake in Vietnamese steel firm QH Plus JSC.

VietinbankSC and the Vietinbank provided the consultation for the investment. The detailed value of the deal has not been disclosed.

According to the investment agreement, Koizumi will buy 23 per cent of QH Plus's shares. In addition, Koizumi's products will be introduced in the business system of QH Plus, while QH Plus products will be introduced in Koizumi's sales channels.

Speaking at the signing ceremony, General Director of VietinbankSC Khong Phan Duc said the agreement between QH Plus and Koizumi would bring many benefits for both sides, as well as enhance each company's reputation.

Koizumi is one of the pioneers in the field of household equipments with nine subsidiaries and more than 100 sales offices in Japan. The company's revenue in 2014 was US$1.1 billion.

QH Plus was established in 2006. The company focuses on major fields such as steel, construction materials and construction accessories and expects to earn $100 million in revenue this year.

Currently, QH Plus has offices in many countries, such as China, Singapore, Laos and Cambodia, besides Malaysia and the Philippines.

Property development promotes green living in urban areas

The development of the property sector along with rising income are promoting residents in urban areas to pay more attention to their health and quality of their living environment.

Many property developers have in recent years built modern residential areas with more green spaces to catch up with the thirst for green living by city-dwellers, offering environmentally friendly living environments as an escape from the busy and dusty downtown.

This helped explain while new urban areas and gated communities such as Ciputra, The Manor in Ha Noi or Phu My Hung in HCM City were attracting such attention as these projects met the demands of high-income city-dwellers.

BIM Group, one of the leading property developers in Viet Nam, recently brought the model of the gated community to northern Quang Ninh Province's Ha Long City with the debut of Green Bay Village early this month in the hope of optimising the quality of living standards.

Doan Quoc Huy, deputy chairman of BIM Group, said that the development of residential projects with high living standards in Ha Long City was essential, given the tourism city's rapid economic growth and growing population.

Located in Halong Marina New Urban Area, Green Bay Village offered 144 modern townhouses that would an ideal living environment, the developer said.

Green Bay Village was expected to be developed into the most civilised gated community in Ha Long with a focus on developing green spaces to ensure clean air, in addition to round-the-clock security and modern amenities.

"BIM Group is striving to create a standard living environment and conditions for residents to shape a healthy lifestyle, in the belief that green living spaces would help reduce stress and risks of diseases while improve productivity," Huy said.

Da Nang and IIB ink investment projects MoU

The central city and the International Investment Bank (IIB) signed a memorandum of understanding (MoU) on co-operation and boosting socio-economic development through long-term investment projects in Da Nang.

Vice-Chairman of the city's people's committee Vo Duy Khuong asked the IIB to arrange loans for US$710-million worth of infrastructure projects such as water quality improvement, Lien Chieu Port construction and a feasibility study of the metro system.

Chairman of the IIB Board Nikolay Kosov said he was looking at providing development loans to small and medium-sized enterprises (SMEs) and improving the city's attractiveness as an investment destination for member countries of IIB.

He said IIB wanted to join infrastructure projects and provide loans to SMEs in the city.

In a meeting with the city authorities in August, the bank said it would provide medium and long-term loans to small and medium-sized businesses in significant infrastructure, energy, renewable energy and industrial zones sectors, as well as construction, tourism, information technology and agriculture, besides financial leasing services.

IIB would support the city's Investment and Development Fund and, with other banks, jointly sponsor loans for the city's development projects.

Da Nang has 15,000 small and medium-sized enterprises, but the city has just launched its VND120-billion (US$5.7 million) Investment and Development Fund to provide preferential loans to businesses.

The IIB, founded in 1970 on the basis of an intergovernmental agreement with member countries Bulgaria, Hungary, Cuba and Mongolia, besides the Russian Federation, Romania, Slovakia and the Czech Republic, as well as Viet Nam, has seen booming operations in Viet Nam since 2012.

The bank, with its head office in Moscow, Russia, has funds amounting to EUR374 million (US$333.61 million).

Japanese speakers in demand

Demand for employees with Japanese language skills has been rising steadily in Vietnam over recent years, Mr. Gaku Echizenya, CEO of online recruitment company VietnamWorks, said at the opening of the JapanWorks Job Fair 2015 in Hanoi on December 12.

According to VietnamWorks’s figures, the number of vacant positions that require candidates be able to speak Japanese has increased 40 per cent since this time last year. “More than 50,000 candidates with Japanese language skills have registered to seek jobs with JapanWorks,” Mr. Echizenya said.

At the JapanWorks Job Fair 2015, organized by VietnamWorks and JapanWorks, 500 job seekers with Japanese skills directly interacted with employers, engaged in various career consulting activities, and learned more about the Japanese workplace environment.

In addition to Japanese and English skills, Japanese enterprises also insist candidates possess other skills, a representative from the Embassy of Japan in Hanoi said at the fair. Handling pressure is an important skill Japanese enterprises have paid great attention to recently when seeking employees, he said.

Of the eleven companies at the fair, most were involved in IT, including Evolable Asia and Framgia Vietnam, which have huge demand for Vietnamese employees with Japanese language skills. Major names such as Honda and Toyota were also in attendance, seeking to complement their Japanese-speaking staff.

The number and quality of human resources with Japanese-language skills is less than demand. At seminars held within the framework of the fair, speakers mentioned other skills necessary for Vietnamese employees to succeed at a Japanese company.

“One of the most respected values is diligence,” said Mr. Koji Murata, Director of the Business Development Department at VietnamWorks and founder of JapanWorks.

The JapanWorks Job Fair has been publicized since September in both Hanoi and Ho Chi Minh City and saw more than 5,000 people register to attend, including 2,000 in Hanoi. Five hundred with the best Japanese language skills and work experience were selected to take part at the Hanoi event.

The fair will held in Ho Chi Minh City at the Kim Do Hotel in District 1 on December 19.

BIDV & Becamex together in Binh Duong

The Bank for Investment and Development of Vietnam (BIDV) and Becamex IDC Corp. signed a comprehensive cooperation agreement on December 11 with the target of contributing to socioeconomic development in southern Binh Duong province.

The provincial government appreciates the effectiveness of the cooperation between BIDV and Becamex to date, Deputy Chairman of the Provincial People’s Committee Tran Thanh Liem told the signing ceremony. Provincial leaders will create all favorable conditions possible for the cooperation to achieve great success.

This is the third time the two have renewed the agreement for a five-year period.

They will promote their advantages to exploit their potential and diversify their business activities. The agreement is also expected to improve their competitiveness and contribute to growth in Binh Duong in the 2015-2020 period.

BIDV will arrange capital or directly finance Becamex IDC and its subsidiaries to develop feasible projects, with a maximum credit of VND15 trillion ($666.6 million).

The credit will focus on projects in developing urban areas and infrastructure at Binh Duong New City, developing infrastructure at the Bau Bang Industrial Zone and the Becamex Binh Phuoc Industrial Zone, projects in the development of the education and healthcare sectors, and projects in developing industrial parks and commercial and service areas developed by VSIP (Vietnam Singapore Industrial Park) in Binh Duong, Quang Ngai, Nghe An, and Hai Phong.

The bank is also committed to providing Becamex IDC and its affiliates with a diverse range of banking and financial products and services, such as payment services and centralized capital management, deposits, guarantees, trade finance, foreign exchange trade, securities services, and bond issuance, among others.

According to Mr. Tran Bac Ha, Chairman of BIDV, the bank will continue to accompany Binh Duong in completing its targets in socioeconomic development in the 2015-2020 period. Based on its relationship with foreign partners, BIDV will coordinate with the provincial government in attracting foreign investors, focusing on those from Japan, Taiwan, South Korea and Singapore, Mr. Ha said.

BIDV was the first bank to be present in Binh Duong when the province was re-established in 1997 and have worked with Becamex IDC since then.

NCB appoints new General Director

Following approval from the State Bank of Vietnam, Mr. Dao Trong Khanh has been officially appointed to the position of General Director of National Citizen Bank (NCB).

Mr. Khanh has a Masters of Financial Economics from the National University of Singapore and has worked at banks such as Citigroup, Caylon Bank, and Mizuho Bank. He has also held the positions of General Director and member of the Board of Directors at TP Bank, and was Vice Chairman of the Board at Maritime Bank.

Ms. Tran Hai Anh will step down as General Director but continue to hold the position of Vice Chairman of the Board.

According to Ms. Anh, NCB has quickly built up a solid technology platform and operates under international standards and practices. “We believe NCB will develop quickly and firmly under the management of Mr. Khanh,” she added.

As at November 2015 deposits and customer loans of NCB had increased 76.48 per cent and 54.51 per cent, respectively, against the end of 2014, with bad debts controlled at 2.08 per cent.

With a network of over 90 transaction points nationwide and a customer network built over 20 years, NCB will focus on providing strategic retail products specifically for individuals and businesses and packages of flexible financial solutions for small and medium-sized enterprises based on a modern technological platform.

Vingroup launches Landmark 6

Vingroup will officially launch construction of the Landmark 6 apartment building this month, located within The Landmark, Vinhomes Central Park, in Ho Chi Minh City.

With 45 floors, Landmark 6 includes smart apartments, duplex apartment houses, duplex shophouses, and penthouses.

All are equipped with smarthome systems, including intelligent sound system, curtains, air conditioning, and lighting, the control of which can be linked to mobile phones or tablets.

Landmark 6 has a nice view towards Landmark 81 and the green space Vinhomes Central Park, next to the Saigon River.

Residents will benefit from all the facilities at The Landmark, such as an outdoor pool, a children’s play area, a Jacuzzi, a BBQ garden, a sculpture garden, a playground, and shopping malls.

With its prime location Landmark 6 also allows residents to connect quickly with all the infrastructure of Vinhomes Central Park: the international Vinmec Hospital, Vinschool, Vincom Center, Vinmart, a golf course, and a marina. It is expected to be completed in 2017.

Vinhomes Central Park includes four complexes - The Central, The Landmark, The Park, and The Villas.

It is invested by Vingroup on a total area of 43.91 hectares, designed as a “mini green city” in Ho Chi Minh City, and will be the city’s “green lungs”.

Da Nang resort picks up second World Travel Award

InterContinental Danang Sun Peninsula Resort was again named “World’s Leading Luxury Resort 2015” at the Grand Final Ceremony of the World Travel Awards Worldwide Categories held in El Jadida, Morocco, on December 12, after also winning the award last year.

Various sectors of the tourism industry are recognized annually in the World Travel Awards, with this year’s ceremony attended by over 100 industry leaders.

The resort received the highest votes from travel professionals and high-end tourism consumers from around the world in picking up its second successive award as “World’s Leading Luxury Resort”.

“It is an honor to recognize the InterContinental Danang Sun Peninsula Resort as the World’s Leading Luxury Resort for the second year in succession,” said Mr. Graham Cooke, President of the World Travel Awards. “These global accolades are the benchmark in international hospitality and InterContinental Danang Sun Peninsula Resort has once again been recognized by our voters as the very best in the world. My heartfelt congratulations go to everybody at the resort and I look forward to welcoming it back in 2016 as the hotel seeks to make it a triple celebration.”

With the goal of delivering on its promise of “Where Myth Meets Luxury”, InterContinental Danang Sun Peninsula Resort has recently held high-profile international events and redefined Da Nang’s luxurious resort experience.

InterContinental Danang Sun Peninsula Resort, owned by Sun Group, is within easy access of the UNESCO World Heritage Sites of Hoi An, Hue, and My Son (described as “Vietnam’s Angkor Wat”), making it the perfect base for travelers seeking an experience that connects them to central Vietnam.

Vietjet offers 1.5 million cheap tickets

Vietjet has announced to offer 1.5 million promotional tickets from VND68,000.

The promotion is applied for all passengers flying with Vietjet on alldomestic routes and international routes connecting Seoul, Taipei, Singapore, Bangkok and Yangon from January 05th, 2016 to October 31st, 2016 (excluding public holidays), runs from December 15th, 2015 until December 22nd, 2015.

Among daily and weekly awards, passengers can participate in a lucky draw on board for one of thousands of smart phones, Vietjet’s tickets for international routes and a free holiday at five-star resorts across Vietnam. The luckiest passenger will win a luxurious apartment of Dragon City worth two billion Vietnam Dongs.

Moreover, the airline holds entertaining activities that enable passengers to meet with fairy characters or receive special gifts at all stations in Vietnam and abroad.

Tickets can be booked at www.vietjetair.com (also compatible with smartphones athttps://m.vietjetair.com) or at www.facebook.com/vietjetvietnam (just click the “Booking” tab). Payment can be easily made with Visa, MasterCard, JCB, American Express, and ATM cards issued by 24 Vietnam banks that have been registered with internet banking.

New GM for Six Senses Ninh Van Bay

Mr. Hilton Grant Hastings has been appointed General Manager of Six Senses Ninh Van Bay. “I am enthusiastic about being part of the team here at Six Senses Ninh Van Bay; we have a great product, wonderful people, and good leaders,” he said.

A native of South Africa and nourished by the fruit of the sea and the hospitality of local people, Mr. Hastings entered his first resort management role in Madagascar as a Water Sport and Marina Manager at AnjajavyL’Hotel.  

From there he enjoyed steady career growth into various positions, from Assistant General Manager and Resident Manager to General Manager. In 2007 Mr. Hastings joined Constance Hotels and Resorts and managed resorts in Madagascar, the Maldives, and most recently in the Seychelles.

Mr. Hastings is a natural linguist fluent in Afrikaans, French, and English with some Italian, Malagasy and Zulu. Fly-fishing and scuba diving have kept him busy on and in the water, while on land he samples local cuisine.

He believes the next months are going to be challenging for the resort but the challenges that he sees are the ones he likes. “They are going to unify us and make us stronger and become our success stories,” he said. “And I am sure that all of the challenges that we face together today, once conquered, are going to make us all very proud of what we have been able to achieve.”

Six Senses Ninh Van Bay sits on a dramatic coral bay with golden sand and towering mountains. It comprises 59 pool villas on the beach or nestled above and between massive stone boulders. A Six Senses Spa is a sanctuary for the senses, while guests enjoy many family-friendly activities, culinary experiences, and excursions.

91.16% of businesses register e-tax services

As of the end of November, 91.16% of businesses registered for e-tax services, with each enjoying 10 hours less for paying tax a year, according to the General Statistics Office.

As much as VND119,000 billion were contributed to the State budget through the service.

Currently, 43 commercial banks are launching e-tax services.

The Government issued Resolution 19/2015, which requires the time to complete tax payments not to exceed 121.5 hours a year and the proportion of e-tax declarations among enterprises to be over 95%.

Commercial banks released promotion programs and incentives for businesses to pay tax though e-tax services.

FDI approvals in Binh Duong beat target

Fresh foreign direct investment approvals in Binh Duong Province have amounted to more than US$2.8 billion in the year to date, well above the full-year target of about US$1 billion.

The new FDI pledges include over US$2.06 billion in 188 fresh projects and more than US$765 million in 123 operational ventures. They have increased sharply in the final months thanks to some big-ticket projects being approved by the southern province.

Take as an example an industrial paper project of Taiwan’s Cheng Loong Corporation. According to the investment certificate, Cheng Loong Binh Duong Paper Co. Ltd. will invest around US$1 billion in a mill with an annual capacity of one million tons of industrial paper and 50,000 tons of household paper.

The project covering 75 hectares is scheduled to get off the ground at Ascendas-Protrade Industrial Park in Ben Cat District this month and come online in early 2018.

The paper plant is the biggest foreign-invested project approved in Binh Duong this year. It is Cheng Loong’s largest project abroad as well.

Cheng Loong has over 50 years of experience in the development of cutting paper and carton packaging. The group has 29 paper packaging plants worldwide and is a major supplier of multinationals including Apple and Nike.

According to the government of Binh Duong, this year the province has attracted more large FDI projects as a result of increased investment promotion and development of supporting industries. On the list is a US$274-million project of Far Eastern Polytex Vietnam Co. Ltd. at Bau Bang Industrial Park.

Leaders of Binh Duong said they would continue to streamline administrative procedures, improve the provincial competitiveness and focus on large corporations using high and supporting technologies.

Binh Duong now has nearly 2,570 valid FDI projects with total registered capital of over US$23 billion.

New quality bread brand hits market

Banh Vang Co. Ltd. opened a Gold Bread factory in HCMC’s Nha Be District on Wednesday, offering yet another quality bread choice for consumers in the city.

The French re-baked bread will be launched on the market on Saturday. The 5-million-euro Gold Bread Factory at Lot B3C in Hiep Phuoc Industrial Zone in Long Thoi Commune is able to turn out 120,000 loaves of bread a day.

The company only receives orders from partners for 1,000 loaves per day over six months, according to Ly Doan Vuong, Gold Bread Factory’s general director.

Charles de Champeaux, Gold Bread Factory’s chairman, noted, “With strict European standards, our products are safe because we use no harmful additives.”

VBA wants new special consumption tax delayed

The Vietnam Beer, Alcohol and Beverage Association (VBA) has written to the Government Office and relevant agencies proposing delaying the enforcement of a new government decree on special consumption tax.

Decree 108/2015/ND-CP guiding the implementation of the special consumption tax law is set to take effect early next year. Under the decree, the tax will be calculated based on selling prices, instead of import prices. VBA said this is against the current regulations on special consumption tax.

The association bemoaned that the decree will come into force on January 1, 2016, just two months after its introduction, so it will impact firms’ operations and finances.

Special consumption tax may rise strongly, causing selling prices of imported products to jump.

VBA said businesses have drawn up their short- and long-term business plans based on the existing regulations. Such unexpected legal changes will certainly spell big trouble for enterprises and in the worst-case scenarios, they may stop operations.  

As the National Assembly has yet to pass the revised law on taxes, which is the foundation for Decree 108, coupled with difficulties firms are coping with, the VBA proposed postponing Decree 108 until January 1, 2017 so that businesses will have time to adapt to the new tax calculation method and work with partners and distributors to solve any issues that arise from the new regulation.

According to VBA, higher special consumption tax will help bolster budget collections in the short term. However, in the long term, higher prices of imported products will prompt smuggling and trading of counterfeit goods on the domestic market.

The association noted that alcoholic beverages just account for a small proportion of Vietnam’s beverages market.

Japan firm buys into Fujinet System

Japan’s Uchida Yoko Group has become a strategic shareholder of Fujinet System after buying a 10% stake at the local software outsourcing company as part of a cooperation agreement.

Uchida Yoko had been the largest customer of Fujinet System before the two sides struck the deal in HCMC on Wednesday.

Nguyen Dang Phong, general director of Fujinet System, said the deal enables the company to draw on management experiences and get support from the Japanese firm for a long-term development strategy. With the new shareholder and more orders from Japan, Fujinet System is expected to post strong business growth in the coming time.

In September, Fujinet System started to operate as a joint stock company and requested Uchida Yoko to become its strategic partner.

Noboru Ohkubo, chief executive officer of Uchida Yoko, said Fujinet System is outsourcing software products to Uchida Yoko and the Japanese firm will transfer orders in other sectors to the local partner.

Headquartered in Tokyo, Uchida Yoko is active in multiple business fields and has 3,500 staff. Its revenue was around US$1.3 billion last year.

Fujinet System was established in 2000 to outsource software products for Japanese firms. Its number of employees has increased from 10 in 2000 to 500 in December this year.

The Vietnam Software Association (VINASA) listed Fujinet System as one of the top 10 Vietnamese companies in terms of software outsourcing for foreign firms last year.

Long-coupon bonds sold for first time

The State Treasury on Wednesday mobilized VND10.4 trillion (US$463.2 million) from the sale of long-coupon bonds, held for the first time in Vietnam.   

Long-coupon bonds are bonds with the coupon payment periods longer than those of standard-coupon debt.

For instance, standard-coupon bonds issued on December 10, 2015 will have the annual coupon payment on December 10 and the first time of payment will be on December 10, 2016. Meanwhile, long-coupon bonds issued on December 10, 2015 have the annual coupon payment on March 10 and the first payment date is on March 10, 2017.  

The Government bond market has turned attractive to investors and more banks have competed for G-bonds.

According to data of the Hanoi Stock Exchange, 19 investors attended an auction for long-coupon G-bonds worth VND8 trillion on December 9. They registered to buy over VND26.02 trillion worth of bonds.  

An additional VND2.4 trillion of bonds were offered for sale on the same day and investors registered to buy VND14.05 trillion of bonds.  

The State Treasury collected VND10.4 trillion from the two auctions with a bond coupon of 5.89% per annum.

Long-coupon bonds are part of the Ministry of Finance’s plan to diversify products on the primary G-bond market. They are expected to help organizations mobilize capital, serve as another debt instrument and a reference for other debt instruments on the market.

In addition, they help change and extend terms of bonds to support the Government to restructure debt, ease pressure on the State budget and select an appropriate date to pay principal.

On the other hand, investors have one more choice to invest and reduce risks. Long-coupon bonds will continue to be issued in the coming time.

By end-November, over VND186 trillion had been raised via bond sales on the Hanoi Stock Exchange, 11% lower than the same period last year. Of the total sum, VND136 trillion was collected by the State Treasury.

Tra fish exporters concerned about risks from China

Vietnamese tra fish exporters are still concerned about risks in trade with China though they have enjoyed a strong rise in shipments to the neighboring market this year.

Statistics of the Vietnam Association of Seafood Exporters and Producers (VASEP) showed that Vietnam earned US$260.7 million from tra fish exports to the U.S. in January-October, down 4.6% year-on-year. Revenue from the European Union (EU) market dropped 15% to US$246 million, and exports to ASEAN markets, Mexico and Brazil also fell 1.9%, 10% and 44.5% respectively.

On the contrary, tra exports to China soared 95.2% in January, 29.6% in August, 55% in September and 81.7% in October over the same period last year.

Vo Hung Dung, vice chairman and general secretary of the Vietnam Pangasius Association (VN Pangasius), said tra exports to China accounted for 3-3.5% of the total export revenue last year but the ratio was projected to climb to 10% in the January-October period. The figure is expected to further rise to 11-12% by end-2015.

However, some enterprises voiced concerns over uncertainties about fish trade with China.

Nguyen Van Kich, general director of Hau Giang Province-based Cafatex Group, said China has not opened its doors to Vietnamese tra fish.

Therefore, local exporters have mainly shipped tra fish to China by sea, paying a 13% tax and facing checks based on international standards. For exports via unofficial channels, Vietnamese firms neither pay the tax nor undergo product inspections but they have to pay importers US$1,500 for each lot.

According to Kich, China is a large and attractive market but only via unofficial channels. Vietnamese exporters face high risks such as strict controls by the Chinese customs, backlogs at border gates, and they may be even empty-handed if their partners are caught.

VASEP projected tra fish exports to China to increase further in 2016 but at a lower pace than in 2015.

VASEP’s former vice chairman Nguyen Huu Dung quoted a source as saying that Chinese importers have been found to ship Vietnamese tra fish to other countries and claim it as a Chinese-farmed fish.

Dung of VN Pangasius said he has not been aware of the matter. However, he said it is normal as China, like Vietnam, is a seafood importer and exporter.

“We don’t have enough material shrimp supply, so we have to import this product from other countries for processing. This is normal in international trade,” Dung explained.

VEF/VNA/VNS/VOV/SGT/SGGP/Dantri/VET/VIR